Automation Has More to
Give than It Will Take
Give than It Will Take
Jimmy Fitzgerald, Vice President and General Manager, Asia-Pacific
and Japan, ServiceNow
and Japan, ServiceNow
Since
the introduction of automation, robots and artificial intelligence (AI), people
have feared being outdone, and entirely replaced – it is easy to see why. When
a precisely assembled computer system, with no concept of exhaustion or error,
replaces human muscle, there is an inevitable apprehension that technology will
soon render certain jobs obsolete. Contrary to popular belief, there is more to
the automation narrative than this single point of view.
the introduction of automation, robots and artificial intelligence (AI), people
have feared being outdone, and entirely replaced – it is easy to see why. When
a precisely assembled computer system, with no concept of exhaustion or error,
replaces human muscle, there is an inevitable apprehension that technology will
soon render certain jobs obsolete. Contrary to popular belief, there is more to
the automation narrative than this single point of view.
Instead
of simply delving into what automation can do for us, let us take a step back
to imagine a world without automation.
of simply delving into what automation can do for us, let us take a step back
to imagine a world without automation.
You,
just like 100 other employees, sit at your desk feeling both very busy, yet
incredibly unproductive. Instead of working on strategic value-adding projects,
you are weighed down by a whole list of mundane tasks. Instead of generating
actionable insights, you are slogging through manual data entry from an endless
stream of data. If these additional two hours of busy work does not seem to
amount to much, aggregate the total hours all 100 employees spend and it
becomes a whopping 200 hours of unproductive work. For any CEO, that is 200
hours of wasted man hours and lost opportunities.
just like 100 other employees, sit at your desk feeling both very busy, yet
incredibly unproductive. Instead of working on strategic value-adding projects,
you are weighed down by a whole list of mundane tasks. Instead of generating
actionable insights, you are slogging through manual data entry from an endless
stream of data. If these additional two hours of busy work does not seem to
amount to much, aggregate the total hours all 100 employees spend and it
becomes a whopping 200 hours of unproductive work. For any CEO, that is 200
hours of wasted man hours and lost opportunities.
A survey that
ServiceNow conducted painted a similar picture, with 91% of leaders saying
their skilled employees spend too much time on administrative tasks. To plug
this gap, automation effectively replaces routine work, freeing up employees’
time to do high-value work that requires creativity and problem-solving.
ServiceNow conducted painted a similar picture, with 91% of leaders saying
their skilled employees spend too much time on administrative tasks. To plug
this gap, automation effectively replaces routine work, freeing up employees’
time to do high-value work that requires creativity and problem-solving.
It is
unsurprising, then, that 97% of Singapore leaders agree that intelligent
automation could increase productivity. This includes artificial intelligence
or machine learning to streamline decision making to improve the speed and
accuracy of business processes.
unsurprising, then, that 97% of Singapore leaders agree that intelligent
automation could increase productivity. This includes artificial intelligence
or machine learning to streamline decision making to improve the speed and
accuracy of business processes.
It is
against this backdrop that the Singapore government is taking steps to
encourage the integration of technology into multiple sectors with the Smart Nation initiative.
Instead of avoiding automation in the fear that it will replace humans,
Singapore is working towards developing skills for the future with the
establishment of the Committee
on the Future Economy (CFE). It
will look towards job creation and introducing proposals like Industry
Transformation Maps, that serve to identify opportunities for growth, like
automation and innovative new technology.
against this backdrop that the Singapore government is taking steps to
encourage the integration of technology into multiple sectors with the Smart Nation initiative.
Instead of avoiding automation in the fear that it will replace humans,
Singapore is working towards developing skills for the future with the
establishment of the Committee
on the Future Economy (CFE). It
will look towards job creation and introducing proposals like Industry
Transformation Maps, that serve to identify opportunities for growth, like
automation and innovative new technology.
Driving Financial Growth
We
studied companies who had automated at least 70% of their business processes,
and compared them to companies who had automated less than 30%. The results
underscored that highly automated companies are six times more likely to
experience revenue growth of more than 15%. Additionally, for every 10-point
increase in business process automation, revenue growth increases approximately
7.64%.
studied companies who had automated at least 70% of their business processes,
and compared them to companies who had automated less than 30%. The results
underscored that highly automated companies are six times more likely to
experience revenue growth of more than 15%. Additionally, for every 10-point
increase in business process automation, revenue growth increases approximately
7.64%.
Boosting Productivity Levels
Shunning
automation while hiring more people will not address the declining productivity
levels nationwide. Since 2013, productivity in
Singapore has not seen significant growth, and instead has seen a steady drop
over the years. Hiring new workers doesn’t increase
productivity, it merely diffuses the existing workload and drives up labor
costs. The only choice is to automate manual processes.
automation while hiring more people will not address the declining productivity
levels nationwide. Since 2013, productivity in
Singapore has not seen significant growth, and instead has seen a steady drop
over the years. Hiring new workers doesn’t increase
productivity, it merely diffuses the existing workload and drives up labor
costs. The only choice is to automate manual processes.
Job Creation
Automation
and employment need not be as mutually exclusive as it is often assumed to be.
A “Future
of Jobs” report by the World Economic Forum affirms that
technological advancement, amongst other social factors will create 2.1 million
new jobs by 2020. In fact, Forrester also predicts that 14.9 million jobs will
be created because of automation, by 2027.
and employment need not be as mutually exclusive as it is often assumed to be.
A “Future
of Jobs” report by the World Economic Forum affirms that
technological advancement, amongst other social factors will create 2.1 million
new jobs by 2020. In fact, Forrester also predicts that 14.9 million jobs will
be created because of automation, by 2027.
In
Singapore, leading adopters of automation have demonstrated that automation
leads to redesigning of work rather than cutting jobs, eliminating mindless
duties and freeing up employees to engage in tasks higher up the value chain.
Singapore, leading adopters of automation have demonstrated that automation
leads to redesigning of work rather than cutting jobs, eliminating mindless
duties and freeing up employees to engage in tasks higher up the value chain.
At KK Women’s
and Children’s Hospital (KKH), its Emergency Pharmacy serves one of the busiest
A&Es in Singapore where every minute is a matter of life and death. Relief
comes in the form of a robotic
bottle dispensing system (BDS) that automatically loads,
picks, assembles and labels medication bottles, before it is sent for a final
safety check by staff. With the time freed up by automation, pharmacy staff
were able to take on more specialized tasks like safety checks and
communication with patients, eventually leading to more satisfied customers and
more fulfilled employees. In fact, 45% of
employees in Singapore share a mutual confidence that automation will make
their jobs better.
and Children’s Hospital (KKH), its Emergency Pharmacy serves one of the busiest
A&Es in Singapore where every minute is a matter of life and death. Relief
comes in the form of a robotic
bottle dispensing system (BDS) that automatically loads,
picks, assembles and labels medication bottles, before it is sent for a final
safety check by staff. With the time freed up by automation, pharmacy staff
were able to take on more specialized tasks like safety checks and
communication with patients, eventually leading to more satisfied customers and
more fulfilled employees. In fact, 45% of
employees in Singapore share a mutual confidence that automation will make
their jobs better.
Beyond
redesigning routine work, the market of automation itself presents an entire
ecosystem for growth opportunities. With a burgeoning demand for constant
innovation, the workforce of today will be largely knowledge-based. A new
generation of skilled workers will be required to pioneer groundbreaking ways
of facilitating human-machine collaboration, maximizing the potential for
higher productivity and innovation.
redesigning routine work, the market of automation itself presents an entire
ecosystem for growth opportunities. With a burgeoning demand for constant
innovation, the workforce of today will be largely knowledge-based. A new
generation of skilled workers will be required to pioneer groundbreaking ways
of facilitating human-machine collaboration, maximizing the potential for
higher productivity and innovation.
Investing When the Time Is Ripe
We
asked our survey respondents when they envision themselves reaching breaking
point, where they would eventually require automation to cope with the growing
demands of work.
asked our survey respondents when they envision themselves reaching breaking
point, where they would eventually require automation to cope with the growing
demands of work.
9 out
of 10 companies told us they will hit breaking point within the next year, and
require new methods of automation to manage the expanding work volumes by 2020.
It becomes clear, then, that the time for automation is now. We don’t have
decades, only a few years at best.
of 10 companies told us they will hit breaking point within the next year, and
require new methods of automation to manage the expanding work volumes by 2020.
It becomes clear, then, that the time for automation is now. We don’t have
decades, only a few years at best.
Automation
must be at the top of every enterprise’s agenda. Companies with low automation
levels must identify and automate high-impact business processes – and those
with higher automation levels need to aggressively pursue intelligent
automation.
must be at the top of every enterprise’s agenda. Companies with low automation
levels must identify and automate high-impact business processes – and those
with higher automation levels need to aggressively pursue intelligent
automation.
Good
news is the tools needed to automate business processes exist today.
Enterprises stand to benefit from this technology by taking decisive steps
today.
news is the tools needed to automate business processes exist today.
Enterprises stand to benefit from this technology by taking decisive steps
today.
1.
Identify which business processes that need to
be made more efficient. Look across all business units, including HR, customer
service and IT.
Identify which business processes that need to
be made more efficient. Look across all business units, including HR, customer
service and IT.
2.
Map these critical business services, and make
use of intelligent automation.
Map these critical business services, and make
use of intelligent automation.
3.
Retraining employees with updated skill sets
will equip them well to meet new demands of their responsibilities and thrive
in an automated world.
Retraining employees with updated skill sets
will equip them well to meet new demands of their responsibilities and thrive
in an automated world.
There
is no longer any time to waste skilled resources on mundane, low-value
activities. Every second is critical. Intelligent automation need not be
perceived as a rival, but rather a stepping stone to push companies to unlock
their potential, and achieve more in shorter time spans – from enhanced
productivity, higher growth values, reduced spending, and ultimately, job
creation.
is no longer any time to waste skilled resources on mundane, low-value
activities. Every second is critical. Intelligent automation need not be
perceived as a rival, but rather a stepping stone to push companies to unlock
their potential, and achieve more in shorter time spans – from enhanced
productivity, higher growth values, reduced spending, and ultimately, job
creation.
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